Most of tonight's Rap was regarding Russell's latest column. Fleck quoted a good deal of that column. The last 3 paragraph's were a tour de force summary of the case for gold:
messages.yahoo.com
Exceedingly Profligate: "The U.S. is now exceeding its budget, and in view of rising terrorism, there appears no end to the U.S. government exceeding its budgets. The U.S. has now elected to become policeman to the world, and this will entail massive, seemingly unending expenses. On top of this, U.S. consumers are exceeding their budgets. The savings rate in the U.S. has sunk to zero. Much of U.S. inflation has funneled into the price of housing. The housing situation has evolved into a bubble, and in due time, every bubble will burst.
Golden Sun Vanquishes Paper Moonshine: "In view of all of the above, the Dollar Index has topped out, and gold has been rising. Gold has been rising as distrust in the dollar has been rising. There are only four major currencies in the world today. Three of them are fiat currencies, and they are the dollar, the euro, and the yen. The fourth is an intrinsic or commodity currency, and that currency is gold.
"International competition by nations for exports is now intense. China and a few other Asian nations have become manufacturers to the world. In due time, we will see competitive devaluations of paper currencies as nations battle for their much-needed exports. In the end, the island of safety from the standpoint of money will be gold. The primary trend, the long-term trend of gold is therefore due north. Irregularly north, but nevertheless due north." |
